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Flashcards in HR Strategy Deck (33):
1

What is strategy?

Long-range plans to achieve defined goals

2

What are the four parts of a strategic management process?

FDIE-
Formulation-gather info and define mission

Develop- how and where. Translating data
Implementation-allocate resources
Evaluation-assess and adapt

3

What is essential for strategic success?

Alignment of effort across the organization (alignment of structure and culture)

4

What are strategic levers and constraints and what is the primary lever?

Levers and constraints make strategy more or less difficult to achieve;primary lever is the employees

5

What is organizational culture?

Shared assumptions and beliefs

6

What is the role of HR in strategy?

Supporting the needs of stakeholders and building pivotal talent pools

7

What are the four phases of an organization's life cycle and what is generally HR's focus in each

1. Introduction =energy and vision
2. Growth=standardization
3. Maturity =efficiency and disciplined risk taking
4. Decline=right sizing and change management

8

What is environmental scanning and what good does it do?

Identifying external threats and opportunities;lessens randomness of information and provides early warnings of changing external conditions

9

What is PEST

The search for environmental forces: political, economic,social,and technological

10

What is SWOT

The use of data obtained through PEST to identify levers and constraints: strengths,weaknesses,opportunities,and threats

11

How does clarity of mission help an organization?

It is a guide during crisis,and reflects culture,and helps with branding

12

What is the difference between strategic goals and objectives?

BHAG'S(big hairy audacious goals)strategic goals are long-term and transformational

* The objectives are for each activity and the objectives are tied to value drivers (specific impacts)

13

What is the good of a balanced scorecard?

Provides balanced,strategy-focused perspective not focused solely on finance but also customers, learning and growth, and internal business processes; can show leading and lagging indicators

14

What are leading and lagging indicators?

Leading indicators =affects that impact the future (example:engagement survey results)

Lagging indicators =events that have already occurred (example:turnover)

15

What are SMART objectives?

Specific
Measurable
Attainable
Relevant
Timebound objectives

16

What is benchmarking and why should we be cautious about it?

* Benchmarking is the comparison of an entity's performance to another, but beware of cultural bias.

17

What are balance sheets ,income statements , and cash flow statements?

Balance sheet=assets,liabilities, and equity at one point in time(only money)
Income statement =revenues,expenses,and profits (show bottom line)
Cash flow statement =cash in and out of the organization

18

What might a negative cash flow in operations, and in finance mean?

Sales are to low or cost of production is to high; and to much borrowing

19

What is gross profit margin?

It is the gross profit divided by net sales which = a % of every sales dollar to cover the cost

20

What is net profit?

It is net income divided by net sales=shows efficiency

21

What is the danger of excessive use of financial measures?

It can overemphasizes short-term results

22

What is strategic fit?

The compatibility of strategy with internal and external environments

23

What are Porter's competitive strategies of cost leadership, differentiation, and focus?

Cost leadership = lowest price
Differentiation =unique
Focus =segment/niche

24

Explain the following growth strategies:
Strategic alliance
Joint venture
Equity partnership
Merger/Acquisition
Franchising
Licensing
Contract manufacturing
Management contract
Turnkey operations
Greenfield operations
Brownfield operations

*Strategic alliance =share assets
*Joint venture =jointly owned
*Equity partnership =partnership agreement
*Merger/Acquisition =concern for data privacy
*Franchising =low risk entry
*Licensing =no control over license
*Contract manufacturing =lower cost when other company manages operations
*Management contract =other company does things except financing and ownership
*Turnkey operations =acquire with no change
*Greenfield operations=new from the ground up
*Brownfield operations = repurposed

25

What are HR's main roles in alliance/joint ventures and divestitures?

Alliance/joint ventures =HR's role is to focus on people and cultural fit (communication)

Divestitures=HR's role is to try to not to lose good talent(communicate) and learn lessons

26

What does due diligence attempt to reduce?

Uncertainty

27

What does a strategic budget do as opposed to an operations budget?

A strategic budget funds and manages a project with line of sight goals as opposed to an operations budget which funds ongoing activities

28

What are two tools used to prioritize investment?

Growth share matrix and nine-box matrix

29

Why develop horizon strategies?

To spread out the risk, and work on lower levels of uncertainty first, and to keep production going

30

What is a business case and what are its four aspects!

*Description of problem and proposed solution
*statement of need
*recommended solution, risks and opportunities
*estimated costs and time frame

31

What makes for good communication?

Two-way,leaders support, flows across silos, connects to strategy

32

Measures must show what two things to help with strategic implementation?

Activities and results

33

How do you evaluate success?

Based on agreed metrics that have been communicated, and they are measurable, and strategically valuable